London riots judgement overruled by Supreme Court

Mayor Boris Johnson has won a Supreme Court battle against insurance companies relating to the London riots in 2011.

This means that property owners and their insurers are unable to recover consequential losses stemming from a riot from the police department.

The court, which is the highest UK court, overturned a ruling by the Court of Appeal yesterday, April 20, 2016.

The case centered around damage caused to a Sony warehouse in Enfield during the riots and the details of the 1886 Riot Damages Act.

The Court of Appeal had ruled in the insurer’s favour, concluding that the legislation provided the right to compensation for consequential loss such as loss of rent and loss of profit.

But five justices in the Supreme Court overruled the decision, concluding that the 1886 Act does not provide a right to compensation for consequential loss.

Chris Owen, head of disputes at UK law firm TLT which represented the Metropolitan Police at the Supreme Court, said: "With many claims for consequential loss dependant on the outcome of this case, today's Supreme Court decision will likely save the UK taxpayer upwards of £80 million.

"The law was unclear in this area and largely written for a different era. The Supreme Court ruling today has clarified that the compensation payable by the Metropolitan Police is limited to the costs of repairing the damage done to property during the 2011 London riots. The legislation is in the process of being updated."